A financial intermediary is a middleperson between ?
Correct answer: C. borrowers and lenders.
- A. buyers and sellers
- B. husbands and wives.
- C. borrowers and lenders.
- D. labor unions and firms
Explanation
A financial intermediary, such as a bank or mutual fund, channels funds from lenders or savers to borrowers. It therefore stands between borrowers and lenders rather than between ordinary buyers and sellers.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Macroeconomics
The economy is studied as a whole through national income, gross domestic product, inflation, unemployment, economic growth and business cycles. Coverage includes aggregate demand and supply, consumption and investment, money and banking, fiscal and monetary policy, exchange rates and balance of payments, which distinguishes macroeconomics from the study of individual markets.
Practise Macroeconomics
1,499 free Macroeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Macroeconomics questions
Which of the following financial market securities would probably pay the highest interest rate ?
If Pakistani citizens become more thrifty we would expect ?
If the Supply of loanable funds is very inelastic (steep) Which policy would likely increase saving and investment the most ?
Improved training of employees would ?
Aggregate demand will increase if ?
An increase in aggregate demand if aggregate supply is totally inelastic will ?